Chapter 23

1. Chapter 23 Cyberlaw

2. Quote of the Day “The moving finger writes; and, having writ Moves on: nor all thy piety nor wit Shall lure it back to cancel half a line. Nor all thy tears wash out a word of it.” Omar Khayyam (1050?-1123?), Persian poet, astronomer and mathematician

3. Privacy • Tracking tools • Popular websites install thousands of tracking tools on the computers of people who visit their sites • Placed on computers without notice or warning to the consumer

4. Regulation of Online Privacy • Self-regulation • Self-regulatory Principles for Online Behavioral Advertising – Require websites that use tracking tools to provide notice of data collection that is “clear, prominent, and conveniently located” • The First Amendment – Protects free speech • Includes postings which have appeared on Internet message boards and blogs

5. Regulation of Online Privacy • The Fourth Amendment – Prohibits unreasonable searches and seizures by the government • The FTC – Prohibits unfair and deceptive acts or practices • Electronic Communications Privacy Act (ECPA) of 1986

6. Electronic Communications Privacy Act • Any intended recipient of an electronic communication has the right to disclose it • Internet service providers are generally prohibited from disclosing electronic messages to anyone other than the addressee • An employer has the right to monitor workers’ electronic communications if: • The employee consents • Monitoring is in the ordinary course of business • In the case of email, if the employer provides the computer system

7. Children’s Online Privacy Protection Act of 1998 (COPPA) • Prohibits Internet operators from collecting information from children under age 13 without parental permission • It also requires sites to disclose how they will use any information they acquire

8. Regulation of Online Privacy • State regulation • Some states have passed own online privacy laws • European law • The EU’s e-privacy directive requires an opt-in system under which tracking tools cannot be used unless: • The consumer is told how the tools will be used • The specifically grants permission for their use • Spyware: A computer program that enters a user’s computer without permission • Monitors and reports the user’s activities

9. Spam • The Controlling the Assault of Non-Solicited Pornography and Marketing Act (CAN-SPAM) • A federal statute that does not prohibit spam but regulates it • Under this Statute, commercial e-mail: • May not have deceptive headings • Must offer an opt-out system permitting the recipient to unsubscribe • Must clearly indicate that the email is an advertisement • Must provide a valid physical return address • Must clearly indicate the nature of pornographic messages

10. Internet Service Providers and Web Hosts: Communications Decency Act (CDA) of 1996 • Under the CDA, ISPs and web hosts are not liable for information that is provided by someone else • Only content providers are liable

11. Crime on the Internet • Hacking: Gaining unauthorized access to a computer system • Illegal under the federal Computer Fraud and Abuse Act (CFAA) of 1986

12. Crime on the Internet • CFAA prohibits: • Accessing a computer without authorization and obtaining information from it • Computer espionage • Theft of financial information • Theft of information from the U.S. government • Theft from a computer • Computer fraud • Intentional, reckless, and negligent damage to a computer • Trafficking in computer passwords • Computer extortion

13. Crime on the Internet • Fraud: Deception of another person for the purpose of obtaining money or property from him • Auctions – A major source of consumer complaints about online fraud • Shilling: When a seller at auction either bids on his own goods or agrees to cross-bid with a group of other sellers

14. Crime on the Internet • Identity theft - The Identity Theft and Assumption Deterrence Act of 1998: • Prohibits use of false identification to commit fraud or other crime • Permits the victim to seek restitution in court • Phishing: A fraudster sends a message directing the recipient to enter personal information on a website that is an illegal imitation of a legitimate site • Spear phishing: Involves personalized messages sent from someone the victim knows

15. “The Internet has changed our lives in ways that were inconceivable a generation ago, and the law is rushing to catch up. Courts will apply some old laws in new ways and, as legislators and courts learn from experience, new laws will be enacted.”